HUD limits to acreage?

[Richard J. Glesser]

Doing a property with 20 acres in a market area where 20 acres is not uncommon. Lender told me he thought FHA would only allow 5 acres to be considered in the value while I though FHA allowed entire site if not excessive for market. Any assistance would be greatly appreciated.

 

[CANative]

There are no specific limitations on lot size. If there is excess land involved there is a convoluted process required. See HUD Handbook 4150.2, 4-4.

 

[RSW]

I'm with you Greg.

 

[Richard J. Glesser]

Thanks Greg!

 

[Rufus]

Doing a property with 20 acres in a market area where 20 acres is not uncommon. Lender told me he thought FHA would only allow 5 acres to be considered in the value while I though FHA allowed entire site if not excessive for market. Any assistance would be greatly appreciated.

You probably already know this, but do not let the lender talk you into doing 'the house and five'.

See this thread if you need details:
http://appraisersforum.com/showthread.php?t=138563